The British pound is extending its daily upside on Tuesday, now lifting GBP/USD to print daily tops above the 1.2300 handle.
GBP/USD in 4-day tops
Spot keeps the firm fashion during the first half of the week, now navigating multi-day tops above 1.2300 the figure and challenging last Wednesday’s inside day tops near 1.2330.
The upside momentum in the pair remains underpinned by today’s higher-than-expected inflation figures in the UK for the month of September, showing consumer prices rose at an annualized 1.0% vs. 0.9% forecasted.
Looking ahead, GBP will take centre stage later in the week, as UK’s labour market figures are due tomorrow, Retail Sales will be published on Thursday and Public Sector finances on Friday.
It is worth mentioning that according to the latest CFTC report, GBP speculative net shorts have been trimmed a tad during the week ended on October 11, although they still remain in record levels.
GBP/USD levels to consider
As of writing the pair is gaining 0.97% at 1.2302 and a break above 1.2377 (high Oct.11) would open the door to 1.2644 (20-day sma) and finally 1.2761 (high pre-‘flash crash’ Oct.7). On the flip side, the immediate support lines up at 1.2086 (low Oct.11) ahead of 1.1450 (low post-‘flash crash’ Oct.7).